7.18.2 Jurisdictional Exception Rule

A. The Jurisdictional Exception Rule provides a saving or severability clause intended to preserve the balance of USPAP if compliance with one or more of its parts is precluded by the law or regulation of a jurisdiction. When an appraiser properly follows this Rule in disregarding a part of USPAP, there is no violation of USPAP.

B. USPAP defines law as including constitutions, legislative and court-made law, administrative rules, and ordinances. Regulations include rules or orders having legal force, issued by an administrative agency, such as HUD. This would include Handbooks, Notices, and the MAP Guide. Instructions from an attorney or a client do not establish a jurisdictional exception.

C. The need to take a Jurisdictional Exception should be rare. If it is needed, the appraiser or HRA must specifically cite the regulation and the portion of USPAP that is affected. Verbal direction from management is not sufficient to justify an exception. The HRA must cite a citation from the MAP Guide or other appropriate authority.